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DIGITAL MIGRATION PLAN AND STRATEGY

Presentation to the Portfolio Committee on Communications

01 June 2010

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Introduction

• South Africa has fourteen (14) licensed television services:-

– Public Free to Air: SABC 1, SABC 2 and SABC 3

– Commercial free to Air: e-TV

– Commercial Pay TV: M-Net, Multichoice, On Digital Media,

Super 5 Media, WOW TV, and E-Sat

– Community TV: Trinity, Cape Town, Bay TV, Tshwane and

Soweto

• All public TV services, e-TV, M-Net and community TV use

analogue frequencies while commercial pay TV use digital

satellite technologies (DVB-S)

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Introduction• There are not enough terrestrial frequencies to accommodate the

introduction of new community TV, public regional and the opening of

competition in the free-to-air market;

• The Authority recently received two new applications for Community

TV in the Eastern Cape and the North West provinces;

• It is proving to be difficult to address the rising demands in light of

frequency scarcity; and

• Yet, the Authority is committed to facilitate the development of the

three tier broadcasting system: public, community and commercial

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The Objective of BDM

• Broadcasting digital migration (BDM) offers an opportunity to create

additional opportunities for other interested services;

• The uptake of digital technology will free more spectrum currently

occupied by the existing services to accommodate rising demand ;

• The released spectrum will also be utilized to accommodate digital

radio, high definition TV and broadband services;

• Put simply, a frequency that currently carry one TV channel e.g. SABC

1, will carry more than 8 channels with the uptake of digital

technology; and

• The same capacity used for one TV channel will carry over 50 radio

services

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The Objective of BDM

• As stated, part of the spectrum to be released will be used to provide

broadband services;

• This spectrum is in high demand as it is cost effective to deploy and

can address universal service and access to ICTs;

• The Authority’s approach to BDM is thus informed by the following

principal objectives:

– Introduction of quality television viewing

– Broadening the reach of community and public TV and radio

services

– Ensuring universal access to broadband services

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VHF BAND(174-262 MHz) BEFORE ANALOGUE SWITCH OFF

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VHF BAND(174-262 MHz) AFTER ANALOGUE SWITCH OFF

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UHF BAND (470 -862 MHz) BEFORE AND AFTER ANALOGUE

SWITCH OFF

• e.g Gauteng Province

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International Obligations

• The Authority’s approach to BDM is also informed by international

law, known as the Geneva 06 Agreement entered into by all

countries in region 1 of the International Telecommunications

Union (ITU), a UN Agency for communications;

• The ITU has three regions: Region 1(Africa, EU and the Middle

East; Region 2: the Americas and Region 3: Asia & the Pacific; and

• The GE 06 excludes all countries in region 2&3 with the exception

of the Islamic Rep of Iran which signed the agreement

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International Obligations• The GE 06 provides that all contracting parties should

conclude the migration process by 17 June 2015;

• This means that countries that continue to broadcast

analogue services will not be protected after that date;

• West African countries placed a foot note to conclude the

migration in the VHF Band by 2020; and

• South Africa only reserved its right to protect its services in

case other countries fail to comply with the GE 06 and the

Radio Regulations

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International Obligations

• Contracting members can opt out of the GE 06 under the

following conditions:

– Modifications: this requires re-coordination with neighboring

countries before filing with the ITU;

– Denunciation: a country can file its intention to withdraw

from the GEO with the Secretary-General office before it

becomes effective after 12 months; and

– Review: the GE 06 can only be revised by a competent

Regional Radio Conference of all countries in Africa, Europe,

the Middle East and Iran

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DTT Roadmap• In 2005, the Minister of Communications appointed a multi-stakeholder Digital

Migration Working Group to investigate the country’s DTT Road Map

• In the meantime, Cabinet decided that South Africa will run a three year dual

illumination period, that is, from November 2008-November 2011;

• The Working Group released its final Report in 2007 laying a foundation for

development of the Ministerial policy ,which was finalized on 07 September

2008; and

• In November 2008, broadcasters commenced their trials as it was no longer

feasible to commence with public DTT services on the same day as initially

announced

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DTT Roadmap

• The delay in the commencement of the DTT

was due to the absence of all key

ingredients needed for DTT:

– Regulations and the Frequency plan

– Technical Standards for STBs

– Manufacture and distribution of STBs

– Broadcasters state of readiness

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Regulatory Framework for BDM

• Pursuant to the publication of the Ministerial policy, the Authority

started work on the DTT Regulations and the Frequency Plan;

• This was one of the major projects achieved by the Authority in

2009;

• The Authority also participated in the development of STB

standards driven by the SABS and involving all key players; and

• The regulations, frequency plan and the technical standards are

based on the DVB-T standard in terms of the GE 06

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DTT Regulations• The current regulations provide for the migration of SABC, e-TV ,

M-Net and Trinity which are the holders of analogue frequencies

• These are the broadcasters that hold the frequency spectrum that

needs to be used for the services, as the digital dividend

• These broadcasters will be allowed to add new channels as an

incentive for their costs related to a regulated migration process

• Meanwhile, the Authority is working on a licensing dispensation to

introduce competition to M-Net and e-TV at the end of digital

switch-over

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DTT Regulations

• Community TV services will be accommodated into their

dedicated DTT spectrum at the end of migration;

• The Authority has also completed a document on the

framework for the distribution of the Digital Dividend; and

• The document has been submitted to the Minister as it also

reflects on policy issues which are his competency

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Radio Frequency Spectrum for DTT

• The Authority finalized the frequency plan in 2009 after three

sessions of public consultation with all interested parties;

• The Authority decided to stay as close as possible to the GE 06 to

avoid interference with the six (6) neighbouring countries who are

also contracting members to the agreement; and

• While Sentech started to rollout its DTT network, in 2005, before

the GE 06, the Authority is engaging Sentech to ensure value for

the existing infrastructure, without compromising our international

commitments and obligations

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Radio Frequency Spectrum for DTT

• The DTT Regulations provide for the establishment of the Joint

Spectrum co-ordinating Committee comprising all affected

broadcasters and their ECNS providers to address “teething

problems” in the process;

• This create a platform for participants to deal with all cases of

frequency interference thus protecting the quality of the

broadcasts; and

• The Authority will also review the plan on annual basis to deal with

international co-ordination as well as prevent interferences within

the Republic

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Set Top Boxes

• STBs are required by consumers who do not have access to

digital TV sets which are priced at over 5000 ZAR;

• It is estimated that around 5m households will need to be

subsidized;

• This process is currently driven by the DOC and USAASA,

and as soon as STBs are available, DTT can commence; and

• While the Authority has not changed government time

frames, it is evident that DTT can only commence once the

STBs are available to the public

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Time Frames• The Authority is ready to facilitate the commencement of

DTT as all regulatory ingredients are in place;

• To ensure a co-ordinated drive, we participate in a

stakeholder forum convened by the by the DOC;

• The Authority has not evaluated how the renewed

discussion on standards led by the DOC will impact on the

DTT process; and

• However, the Authority will make its input should the

Minister invite us to do so as required by the law

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Thank you